Card resignation during the tax year

Service-Tax

A taxpayer using a form of business taxation, which is a tax card, cannot resign from this form during the tax year and choose a different form of taxation, except in strictly defined cases.

Changing the form of taxation

The taxpayer may resign from paying the tax card by January 20 of a given tax year by submitting an appropriate application to the tax office and if he continues his business activity, he should choose a different form of taxation. If the taxpayer, resigning from the card and still conducting business, does not choose another form of taxation, he will be subject to taxation on general principles according to the tax scale.

Card resignation during the tax year

Resignation from the tax card is also possible within 14 days from the date of delivery of the decision determining the amount of income tax or a change in its amount. The amount of tax is determined annually, therefore it may change to the benefit or disadvantage of the taxpayer. Therefore, upon receipt of a decision on the amount of income tax in the next year of business, the taxpayer has the right to withdraw from the card within a specified period. In the event of resignation, the taxpayer should, from the month following the surrender of paying the tax in the form of a card, pay a lump sum on recorded income or settle accounts on general terms, keeping appropriate documentation.

If the taxpayer does not renounce the use of the tax card as a form of taxation within the prescribed period, the change of this form may be made only in the next tax year by submitting the aforementioned application.

Resignation from the tax card is possible during the tax year also in the event of liquidation of the business, which should be notified to the head of the competent tax office, and when the taxpayer has lost the right to tax in the form of a card and also reported this fact to the head of the office.

However, if the taxpayer does not report the liquidation of business activity by January 20 of the tax year, or does not choose a different form of taxation, it is considered that he continues to conduct taxable activities in the same form and it is not possible to change it during the tax year, except for the situations described above. .